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PPG Industries Launches Ultralast Interior Paint and Primer

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PPG Industries Inc. (PPG - Free Report) announced the launch of Ultralast interior paint and primer. Notably, it is the first product to showcase the clean surface technology of the company.

The new product delivers washability performance that was previously not possible in a paint product. Notably, the overall wall-cleaning process is transformed and streamlined through the product.

Ultralast paint and primer’s scratch and fade-defying formula maintains the vivid and gross color, while other competing products lose color over time on scrubbing or rubbing. Notably, the formula offers property managers, professional contractors and homeowners with a long-lasting freshly painted look.

Ultralast paint and primer lower the need for sponges and abrasive cleaners. The product is suitable for high-traffic areas, such as kitchens, playrooms, bathrooms, retail spaces, restaurants, educational facilities and more.  Moreover, the product extends repaint cycles, eventually saving money and time.

Shares of PPG Industries have lost 12.4% in the past year compared with a 15% decline of the industry.

 

 

Early this month, the company stated that it approved substantial restructuring actions to lower its global cost structure. The plan includes a voluntary separation program that was offered in the United States and Canada. Upon completion, PPG Industries expects the planned actions to offer $160-$170 million in annual pre-tax cost savings, with roughly $25-$35 million of savings forecasted in 2020. Moreover, the remainder of the annual cost savings is expected to be realized by the end of 2021.

PPG Industries will also record pre-tax restructuring charges of $160-$180 million (before tax) in the second quarter of 2020. The company is also expected to incur an additional $10 million in restructuring costs over future quarters. The overall cash outlay is around $180 million to complete the actions.

PPG Industries, Inc. Price and Consensus

 

Zacks Rank & Stocks to Consider

The company currently carries a Zacks Rank #3 (Hold).

Some better-ranked companies in the basic materials space are AngloGold Ashanti Limited (AU - Free Report) , Barrick Gold Corporation (GOLD - Free Report) and Harmony Gold Mining Company Limited (HMY - Free Report) .

AngloGold has a projected earnings growth rate of 109.9% for the current year. The company’s shares have surged around 64% in a year. It currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Barrick has a projected earnings growth rate of 54.9% for the current year. The company’s shares have rallied around 61% in a year. It currently has a Zacks Rank #2.

Harmony Gold has an expected earnings growth rate of 28.6% for 2020. The company’s shares have gained 56.6% in the past year. It presently carries a Zacks Rank #2.

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